The integrated gasification combined cycle (IGCC) is an electrical power generation system which offers efficient generation from coal with lower effect on the environment than conventional coal power plants. However, further improvement of its efficiency and thereby lowering emissions are important tasks to achieve a more sustainable energy production. In this paper, a process simulation tool is proposed for simulation of IGCC. This tool is used to improve IGCC's efficiency and the environmental performance through an analysis of the operating conditions, together with process integration studies. Pinch analysis principles and process integration insights are then employed to make topological changes to the flowsheet to improve the energy efficiency and minimize the operation costs. Process data of the Texaco gasifier and the associated plants (coal preparation, air separation unit. gas cleaning, sulfur recovery, gas turbine, steam turbine and the heat recovery steam generator) are considered as a base case, and simulated using Aspen Plus (R). The results of parameter analysis and heat integration studies indicate that thermal efficiency of 45% can be reached, while a significant decrease in CO2 and SOx emissions is observed. The CO2 and SOx emission levels reached are 698 kg/MWh and 0.15 kg/MWh, respectively. Application of pinch analysis determines energy targets, and also identifies potential modifications for further improvement to overall energy efficiency. Benefits of energy integration and steam production possibilities can further be quantified. Overall benefits can be translated to minimum operation costs and atmospheric emissions. (C) 2009 Elsevier Ltd. All rights reserved.